Market analysts warned of the rising risk of a property market correction in the next 2 years due to global macroeconomic trends and an oversupply of homes in Singapore. Experts noted that previous market corrections in Singapore coincided with economic recessions. For instance, the collapse of property prices in 2008 came after the sub-prime crisis in the US and a subsequent slowdown in financial activity in Singapore. In the event that the United States Federal Reserve withdraws its monetary stimulus programme, home loan interest rates will expect to rise as capital flows out of Singapore, causing the banking system to have low levels of excess deposits. Furthermore, the openness of Singapore's economy also means that it is vulnerable to external shocks, which could tip it into recession and raise unemployment. Another factor to a possible market correction is the housin...